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Birth Of A Nation: Poverty And Development In Timor-Leste


  • Lundahl, Mats

    () (European Institute of Japanese Studies)

  • Sjöholm, Fredrik

    () (European Institute of Japanese Studies)


Timor-Leste is among the world’s poorest countries and poverty reduction is high on the country’s policy agenda. The National Development Plan emphasizes a poverty reduction strategy based on economic growth and a focus on improvements in the health and education sector. This paper describes and analyses poverty and development in Timor-Leste. We find that progress has taken place but the situation remains troublesome with high poverty, low levels of education and large remaining problems in the health sector. Hence, further efforts are needed to improve upon the situation. Economic growth is fragile and too low to generate the necessary resources for such policies. However, unexpected oil revenues seem to be invested wisely and might provide the required means for sustainable poverty alleviation

Suggested Citation

  • Lundahl, Mats & Sjöholm, Fredrik, 2005. "Birth Of A Nation: Poverty And Development In Timor-Leste," EIJS Working Paper Series 213, Stockholm School of Economics, The European Institute of Japanese Studies.
  • Handle: RePEc:hhs:eijswp:0213

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    References listed on IDEAS

    1. Corden, W Max & Neary, J Peter, 1982. "Booming Sector and De-Industrialisation in a Small Open Economy," Economic Journal, Royal Economic Society, vol. 92(368), pages 825-848, December.
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    More about this item


    Timor-Leste; Economic Development; Poverty; Education; Health;

    JEL classification:

    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being

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